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Five criteria of good segments

We will look at the 4 criteria that define effective segments
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© ULAW Business School

5 criteria that define effective segments

For segmentation to be effective and useful to a company, segments must meet the following criteria:

Measurable – the size, growth rate and purchase power must be measurable

Accessible – the segment can be effectively reached and served

Sustainable – the segments are large and profitable enough to bring profit

Differentiable – the segments are sufficiently different from each other

Actionable – internal capabilities are sufficient to meet each segment’s needs

An easy way to remember the 5 criteria would be to use the acronym “MASDA” – from the first letters of each word.

© ULAW Business School
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